John Smedley discusses the new online service he helped build for Sonys latest game console.
October 31, 2006
Having conquered PC games, the Internet is focusing on a new target: game consoles. Thanks to built-in Internet connectivity on the latest hardware from Microsoft, Nintendo, and Sony, developers and gamers are finding new ways to connect.
When Sonys much-anticipated PlayStation 3 console launches next month in Japan and the U.S., those lucky enough to get their hands on one of the systems will have access to another new offering from the Japanese gaming giant: a complete online marketplace.
Microsofts Xbox Live has become the best example of how to get gamers online. Earlier this month, the company said the service hit 4 million members and surpassed 12 million downloads in less than a year. Xbox owners can use their consoles to go online and download games, videos, music, and compete against one another.
Sony, meanwhile, has been hard at work on its own online offering. Earlier this month, the company threw a bash for industry folk in San Francisco to offer additional details about the system and celebrate its arrival. During the event, executives offered additional details on PS3 launch titles, peripherals, and demonstrated the much-anticipated online store (see Sony Unveils PS3 Specifics).
Red Herring recently caught up with John Smedley, president of Sony Online Entertainment (SOE). Perhaps best known for its massively-multiplayer online games like Everquest and Star Wars Galaxies, SOE helped develop the PS3s new online store. We asked Mr. Smedley about the process and his thoughts on the evolution of online services for consoles. Excerpts follow:
Q: Tell us a bit about the online store's development.
A: About 2 years ago, the guys at Sony Computer Entertainment Inc. (SCEI) asked us to help them build it. At the time we launched the project, we knew that digital content was the future. We knew ahead of time that digital downloads were going to be a core part of the service. Watching the success of [Microsofts] Xbox Live was very gratifying because we knew users were interested [in online content]. Now were going to take it to an amazing scale.
Q: The PlayStation online store features a digital wallet that players can load up using a credit or prepaid card and use to buy things like games or in-game items. How do you see the acceptance of these payment models (often called microtransactions) evolving?
A: I think that model works well and I think its going to be the future of online gaming on the console, or at least a big part of it. In the U.S., microtransactions are not a big [thing, but] its going to explode as different business models emerge [and become] a big portion of online console gaming. The metaphor of the wallet is going to make microtransactions easier.
We wanted to create something truly next-gen that supported microtransactions very heavily and had an easy way to access, buy, and use content. The whole network platform was designed to support [any] kind of content people could think up.
Q: What do you make of Microsofts Live Anywhere initiative? The company said it plans to bring PC, Xbox, and even mobile phone gamers together (see Chris Early: PC to Xbox Link Details).
A: I think its a very cool idea. I feel very strongly that games of the future will be playable from any device you have. The difference between Microsoft and Sony [is] openness. Thats the real downside to Live Anywhere. Right idea, wrong strategy.
The fact that Sonys letting middleware providers like Xfire [get involved]
being able to allow third parties to hook in is going to be big.
Q: Microsofts Xbox Live network service offers both free and subscription-based plans, while Nintendo said it will offer free online play. Sony also went the free route. How did you reach that decision?
A: It was analyzed very carefully. The ultimate decision came down to getting more widespread adoption [first]. Its basically a big way to light the rocket. At the top of the online store youll notice a very prominent empty spot. That isnt empty by mistake.
Q: Give us an example of a popular online store that does something well.
A: iTunes: it hides the DRM [digital rights management] from you. The average user never noticed the iPod DRM because they never butt their head against it. The [PlayStation] online store is designed to do just that. We want it to be invisible. In the past, I think people have faulted Sony stuff for putting [DRM] in their faces.
Q: Clearly you believe the store will be a huge part of the PS3 online experience. Whats the most innovative thing about it?
A: It will allow games to have their own personality. Its the single [biggest] thing I think thats going to drive the PlayStations online play. Actually integrating it into the game
imagine if youre an artist and you could draw textures in games and sell them for profit. A person could make a living off games. The platform was designed for that. In the future [expect] content that people design for one another.
Right now you only see big publishers doing consumer stuff. I think thats going to change in the future. Its going to be awesome to see the cool stuff made [for it]. Thats also the area I most want to expand on. I want us to add the ability to have users generate content and sell it.
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